Supermarket Income REIT has increased its interest in the Sainsbury’s Reversion portfolio with a £115m deal, making it the majority owner.
The portfolio comprises 26 Sainsbury’s supermarkets, with 60% in London and the South East. The average net sales area of each store is around 61,000 sq ft.
The REIT has acquired 25.5% of the portfolio from a fund managed by Aviva Investors. It made the purchase through its 50:50 joint venture with British Airways Pension Trustees, contributing £57.5m to the price paid.
The jv acquired its first 25.5% interest from British Land for £102m last May. The latest buy brings the ownership to 51%, with the remaining 49% held by Sainsbury’s.
The Reversion portfolio is one of the UK’s largest portfolios of supermarket properties. It was created through a sale-and-leaseback by Sainsbury’s in 2000.
Nick Hewson, chairman of Supermarket Income REIT, said: “We will work closely with our tenant and co-owner, Sainsbury’s, to deliver a long-term occupational solution for them.”
Colliers advised Aviva on the deal.
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